Aurora observer., October 21, 1920, Image 2

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No Reduction In Price of
Oakland Sensible Six
does the personal efficiency of owners by nearly 57 per
cent—we believe the workers whose toil produces the
vehicle should be large beneficiaries of the constructive J
character of,their work.
At this time when the public mind is disturbed by
sensationally announced price reductions of automobiles
and other merchandise commodities, we desire to give as­
surance to those who require Personal Passenger Trans­
portation, such as provided by the Oakland Sensible Six,
that we do not anticipate reducing the price of our cars.
If abnormal demand has been responsible for over-
enthusiastic expansion and inflated profits in certain in­
stances, the wage earner should not be made to suffer as
he must if powerful forces effect lower automobile prices
whether or no.
Starting wjth the production of the raw material re­
quired and continuing through to the finish product, over
80 per cent of the cost of an Oakland Sensible Six is labor.
Over 80 per cent of the cost, of all other automobiles
produced in large quantities is labor.
True enough, there have been many instances -of in­
flated prices. There has been profiteering. And true
enough, abnormal profits must be eliminated.
When wages paid to labor are reduced) or, When labor
produces more per man, then may manufacturers of hon­
estly priced automobiles legitimately consider the reduc­
tion of their selling prices.
And that is what has been going on around you re­
cently—the price reductions you have witnessed in auto­
mobiles and other merchandise are the belated shaking out
of the abnormal profits. The normal profits are still there.
We have not heard of any instance where automobile
workers are receiving lower wages. ^
Manufacturers whose goods have been priced on
actual cost to produce, plys normal profit, have no in­
flated figures with which to appeal to ""the uninformed
public in sensational announcements o f “ Price Reduc­
tions.” Prudent, studious buyers will not be misguided
by erroneous principles.
If tyages may be lowered eventually we see no im­
mediate trend in that direction.
In the production of so essential a factor in, our
ou eco-
nômic life as the passenger automobile—increasing as it
Oakland Price Advance in Five Years, Due to Increased Cost
o f Labor and Material, Only 27.4 Per Cent
We are therefore able to, say, also with great conser­
vatism, that the present price of Model 34-C represents an
increase, due solely to increased costs of labor and ma­
terial, of 27.4 per cent. Large production each year has
kept this increase at a low figure.
In 1915 Model 32 Oakland Sensible Six was put on the
market at $795 f . o. b. factory.
Since 1915 the wheelbase of the Sensible Six has been
lengthened five inches, its weight increased about four
hundred pounds, its horsepower materially increased, its
frame made deeper, and in many ways thè car has been
enlarged, strengthened, improved and refined.
Compare this increase with the increase of other
automobiles and with commodities- ■with the things you
-buy every, day.
Ifsthe present Model 34-C:had been built in 1915, it is
more than conservative to say that/ based on labor and
material costs at that time, we would have been com­
pelled to list it to ¿ell at $1095, or more, f. o. b. factory.
Nowhere have we been able to find a standard article
of merchandise that has "increased as little in selling price
as the price of the Oakland Sensible Six.
In the event of unexpected reductions in the cost of the labor and material that enter into the con­
struction of the Oakland Sensible Six to a point where we may properly and legitimately reduce
the list price of our cars between October 1st, 1920, and May 1st, 1921, we will refund to every
, Oakland purchaser who buys within the above mentioned period of time the amount o f such re­
duction. This guarantee does not apply to secoed hand cars or former models.
OAKLAND MOTOR CAR COMPANY
Sixth Largest Builders
of
Automobiles in the W orld
PO N TIAC, M ICH IG AN
F. L. MILLER, Agent, Aurora, Oregon